Saturday, July 30, 2005

New York Daily News - Entertainment - Radio: FCC could make a federal case out of payola

It's not really weird news but I find it interesting.
Now we know why people aren't buying as many CDs and why I hear the same damn song 20 times a day. It's been paid for. Maybe now I can hear different songs on the radio.

New York Daily News - Entertainment - Radio: FCC could make a federal case out of payola

FCC could make a federal
case out of payola

Radio

By DAVID HINCKLEY
DAILY NEWS STAFF WRITER

The FCC may do its own investigation into the payola practices uncovered by New York Attorney General Eliot Spitzer, says a spokesman for FCC Commissioner Jonathan Adelstein.

Adelstein, who called for such an investigation this week, is "aggressively pursuing the matter" with FCC Chairman Kevin Martin, says Adelstein legal adviser Rudy Brioche.

Both legislation and FCC regulations make it illegal for a broadcaster not to disclose considerations received in return for putting material on the air.

So if a radio station or individual received money or other items of value in return for airplay, that could be a violation.

Penalties range to $11,000 plus up to a year in prison. But the FCC's real hammer is that it could consider stripping a station of its license - an extreme step that Spitzer, when he released his own findings this week, said the commission should consider for the worst offenders.

Spitzer's investigators found countless instances where record companies provided vacation trips, computers, cash and other considerations in exchange for airplay.

Record company E-mails released by Spitzer's office also detailed other promotional practices, like paying people to flood request lines so it would look as if there was great public demand for a particular record.

Spitzer's investigation resulted in Sony BMG agreeing to pay a $10 million fine, apologize and promise never to practice payola again.

If the FCC decides to pick up the investigation, it will do so through its Enforcement Bureau, the same unit that investigates indecency complaints.

The commission investigates indecency cases only if it receives an outside complaint. If it decides such a trigger is required with the payola charges, a note from Spitzer would probably be deemed sufficient.

Spitzer could also add material to whatever the FCC already has in its files and could gather during a probe.

An FCC investigation would probably not involve public hearings, though it would allow for public comment. The procedure would be the same as with indecency complaints: If violations were uncovered, the agency would send a Notice of Apparent Liability, with the recipient given a period of time for a response.

CARNIVAL COVERAGE: WWRL (1600 AM), which features Caribbean music and news every Saturday, will provide live coverage of three carnivals and a reggae show in Brooklyn this weekend.

Ian (The Goose) Eligon starts it off at 8 a.m. from Caribana in Toronto, and Prince Kalunda is live from the Carnival in Antigua, 1-5 p.m. At various points through the day, Lady NV will send in live updates from Cropover in Barbados.

Simon Templer winds it up from Prospect Park, 5-8 p.m., with "Celebrate Brooklyn" coverage that includes a live performance by Morgan Heritage.

Originally published on July 28, 2005









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